The business of Alpha-Beta-Gama Ltd. is on a large scale. Smt. Rukmani is the CEO of the company. She directs the Marketing Manager that he can take decisions to spend upto र 1 lakh in order to improve the performance of his division. For example, if the Marketing Manager wishes to run an advertising campaign within the limit of र 1 lakh, then this decision can be taken without the consent of the CEO. This authority is not delegated to the remaining Departmental Heads. After the umpteen times insistence of other departmental managers, they are provided with this authority. After some days, another decision was taken with which authority was further delegated by Departmental Managers to their supervisiors/subordinates.

(i) What would you call the authority given to the Marketing Manager to take decisions upto र 1 lakh?

(ii) What does the change introduced in the organisation with the delegation of authority to all the Departmental Managers signify?

(iii) The filtration of authority to the level of Supervisors — what does this situation indicate?


(i) This situation will be called delegation of authority.

(ii) This situation will be called decentralisation.

(iii) This situation signifies expansion of decentralisation.

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An electronic company manufacturing TV and Refrigerator wants to bring two new products Washing Machines and AC’s in the market. For each product separate division are to be set up. lncharge of working machine division and AC’s division will be female and disabled person respectively. Which values have been considered here?


(i) Women Empowerment.

(ii) Promotion of equality.

(iii) Making handicapped people independent.

(iv) Increase of job opportunity with production.

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In an organisation top level management has not distributed work among the subordinates according to their abilities and skill but has been distributed on the basis of caste and religions. Which values are neglected here?


(i) Ignorance of democratic values. 

(ii) Promotion of casteism.

(iii) Violation of secularism.

(iv) Narrow mindedness.

(v) Non-consideration of abilities.

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A manager has kept all right of decision making with himself. Each and every employee has to come to him for orders again and again. Which values are being violated here?


(i) Wastage of time and resources. 

(ii) Frustration in employees.

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Distinguish between delegation and decentralisation of authority on the following bases:
Level of authority


(iv) Level of Authority

Authority is given to the subordinates to
take related decisions.

Authorities are delegated permanently
to subordinates, leaving some which
need to be reserved for top level.

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